# Calculating opportunity cost problem?

Situation:

Workaholic Felix Alvarez is considering a trip to Florida for his spring vacation. He estimated that his round trip airfare would be \$ 275, his car rental \$ 175, and his hotel expenses \$ 950 for his one week trip. By going on vacation Felix would not be able to work and would therefore not earn his usual \$ 1250 per week. Felix spends the same amount on food wherever he is. He always eats in restaurants and his meals cost an average of \$ 290 per week. Calculate the "cost" of his vacation and explain why you did or did not include each of the components described above in your calculation.

op costs - what is the next best alternative. well clearly if he didn't go he would not have paid \$275 for airfare, \$175 for a car, \$950 for a hotel, and would not have lost \$1250 from work. those are the costs he has to pay economically

meals are not included since he's got to eat regardless of what he does.
\$2,653... but you really should do your own homework.

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